Bill Text: CA AB1303 | 2011-2012 | Regular Session | Introduced

NOTE: There are more recent revisions of this legislation. Read Latest Draft

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Bill Title: Health care facilities: local agency joint powers

Spectrum: Partisan Bill (Democrat 1-0)

Status: (Engrossed - Dead) 2012-06-14 - Re-referred to Coms. on GOV. & F. and HEALTH. [AB1303 Detail]

Download: California-2011-AB1303-Introduced.html

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BILL NUMBER: AB 1303	INTRODUCED
	BILL TEXT


INTRODUCED BY   Assembly Member Williams

                        FEBRUARY 18, 2011

   An act to amend Sections 25740.5 and 25742 of the Public Resources
Code, and to amend Section 399.8 of the Public Utilities Code,
relating to energy resources.


	LEGISLATIVE COUNSEL'S DIGEST


   AB 1303, as introduced, Williams. Renewable Energy Resources
Program.
   (1) Existing law requires that specified moneys collected between
January 1, 2007, inclusive, and January 1, 2012, from the electrical
corporations for public interest research, development, and
demonstration, and deposited in the Public Interest Research,
Development, and Demonstration Fund be used for the purposes of the
Public Interest Research, Development, and Demonstration Program.
   This bill would extend the use of those moneys collected until
January 1, 2020.
   (2) Under existing law, the Public Utilities Commission (PUC) has
regulatory authority over public utilities, including electrical
corporations. Existing law requires the PUC to require the 3 largest
electrical corporations in the state to identify a separate
electrical rate component to fund energy efficiency, renewable
energy, and research, development and demonstration programs.
Existing law further requires that 20% of the funds collected
pursuant to the renewable energy public good charge be used for
programs that are designed to achieve fully competitive and
self-sustaining existing in-state renewable electricity generation
facilities, and to secure for the state the environmental, economic,
and reliability benefits that continued operation of those facilities
will provide during the 2007-2011 business cycle.
   This bill would require that 20% of the funds collected pursuant
to that renewable energy public good charge be used for programs that
are designed to achieve fully competitive and self-sustaining
existing in-state renewable electricity generation facilities, and to
secure for the environmental, economic, and reliability benefits
that continued operation of those facilities will provide during the
2012-2020 business cycle.
   (3) Under existing law, a violation of the Public Utilities Act or
any order, decision, rule, direction, demand, or requirement of the
PUC is a crime.
   Because the provisions of this bill are within the act and require
action by the PUC to implement its requirements, a violation of
these provisions would impose a state-mandated local program by
expanding the definition of a crime.
   The California Constitution requires the state to reimburse local
agencies and school districts for certain costs mandated by the
state. Statutory provisions establish procedures for making that
reimbursement.
   This bill would provide that no reimbursement is required by this
act for a specified reason.
   (4) This bill would constitute a change in state statute that
would result in a taxpayer paying a higher tax within the meaning of
Section 3 of Article XIII A of the California Constitution, and thus
would require for passage the approval of 2/3 of the membership of
each house of the Legislature.
   Vote: 2/3. Appropriation: no. Fiscal committee: yes.
State-mandated local program: yes.


THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:

  SECTION 1.  Section 25740.5 of the Public Resources Code is amended
to read:
   25740.5.  (a) The commission shall optimize public investment and
ensure that the most cost-effective and efficient investments in
renewable energy resources are vigorously pursued.
   (b) The commission's long-term goal shall be a fully competitive
and self-sustaining supply of electricity generated from renewable
sources.
   (c) The program objective shall be to increase, in the near term,
the quantity of California's electricity generated by in-state
renewable electricity generation facilities, while protecting system
reliability, fostering resource diversity, and obtaining the greatest
environmental benefits for California residents.
   (d) An additional objective of the program shall be to identify
and support emerging renewable technologies in distributed generation
applications that have the greatest near-term commercial promise and
that merit targeted assistance.
   (e) The Legislature recommends allocations among all of the
following:
   (1) Rebates, buydowns, or equivalent incentives for emerging
renewable technologies.
   (2) Customer education.
   (3) Production incentives for reducing fuel costs, that are
confirmed to the satisfaction of the commission, at solid fuel
biomass energy facilities in order to provide demonstrable
environmental and public benefits, including improved air quality.
   (4) Solar thermal generating resources that enhance the
environmental value or reliability of the electrical system and that
require financial assistance to remain economically viable, as
determined by the commission. The commission may require financial
disclosure from applicants for purposes of this paragraph.
   (5) Specified fuel cell technologies, if the commission makes all
of the following findings:
   (A) The specified technologies have similar or better air
pollutant characteristics than renewable technologies in the report
made pursuant to Section 25748.
   (B) The specified technologies require financial assistance to
become commercially viable by reference to wholesale generation
prices.
   (C) The specified technologies could contribute significantly to
the infrastructure development or other innovation required to meet
the long-term objective of a self-sustaining, competitive supply of
electricity generated from renewable sources.
   (6) Existing wind-generating resources, if the commission finds
that the existing wind-generating resources are a cost-effective
source of reliable energy and environmental benefits compared with
other in-state renewable electricity generation facilities, and that
the existing wind-generating resources require financial assistance
to remain economically viable. The commission may require financial
disclosure from applicants for the purposes of this paragraph.
   (f) Notwithstanding any other provision of law, moneys collected
for renewable energy pursuant to Article 15 (commencing with Section
399) of Chapter 2.3 of Part 1 of Division 1 of the Public Utilities
Code shall be transferred to the Renewable Resource Trust Fund.
Moneys collected between January 1, 2007, and January 1, 
2012   2020  , shall be used for the purposes
specified in this chapter.
  SEC. 2.  Section 25742 of the Public Resources Code is amended to
read:
   25742.  (a) Twenty percent of the funds collected pursuant to the
renewable energy public goods charge shall be used for programs that
are designed to achieve fully competitive and self-sustaining
existing in-state renewable electricity generation facilities, and to
secure for the state the environmental, economic, and reliability
benefits that continued operation of those facilities will provide
during the  2007-2011   2012-2020 
investment cycle. Eligibility for production incentives under this
section shall be limited to those technologies found eligible for
funds by the commission pursuant to paragraphs (3), (4), and (6) of
subdivision (e) of Section 25740.5.
   (b) Any funds used to support in-state renewable electricity
generation facilities pursuant to this section shall be expended in
accordance with the provisions of this chapter.
   (c) Facilities that are eligible to receive funding pursuant to
this section shall be registered in accordance with criteria
developed by the commission and those facilities shall not receive
payments for any electricity produced that has any of the following
characteristics:
   (1) Is sold at monthly average rates equal to, or greater than,
the applicable target price, as determined by the commission.
   (2) Is used onsite.
   (d) (1) Existing facilities generating electricity from biomass
energy shall be eligible for funding and otherwise considered an
in-state renewable electricity generation facility only if they
report to the commission the types and quantities of biomass fuels
used.
   (2) The commission shall report the types and quantities of
biomass fuels used by each facility to the Legislature in the reports
prepared pursuant to Section 25748.
   (e) Each existing facility seeking an award pursuant to this
section shall be evaluated by the commission to determine the amount
of the funds being sought, the cumulative amount of funds the
facility has received previously from the commission and other state
sources, the value of any past and current federal or state tax
credits, the facility's contract price for energy and capacity, the
prices received by similar facilities, the market value of the
facility, and the likelihood that the award will make the facility
competitive and self-sustaining within the  2007-2011
  2012-2020  investment cycle. The commission shall
use this evaluation to determine the value of an award to the public
relative to other renewable energy investment alternatives. The
commission shall compile its findings and report them to the
Legislature in the reports prepared pursuant to Section 25748.
  SEC. 3.  Section 399.8 of the Public Utilities Code is amended to
read:
   399.8.  (a) In order to ensure that the citizens of this state
continue to receive safe, reliable, affordable, and environmentally
sustainable electric service, it is the policy of this state and the
intent of the Legislature that prudent investments in energy
efficiency, renewable energy, and research, development and
demonstration shall continue to be made.
   (b) (1) Every customer of an electrical corporation shall pay a
nonbypassable system benefits charge authorized pursuant to this
article. The system benefits charge shall fund energy efficiency,
renewable energy, and research, development and demonstration.
   (2) Local publicly owned electric utilities shall continue to
collect and administer system benefits charges pursuant to Section
385.
   (c) (1) The commission shall require each electrical corporation
to identify a separate rate component to collect revenues to fund
energy efficiency, renewable energy, and research, development and
demonstration programs authorized pursuant to this section beginning
January 1, 2002, and ending January 1,  2012  
2020  . The rate component shall be a nonbypassable element of
the local distribution service and collected on the basis of usage.
   (2) This rate component may not exceed, for any tariff schedule,
the level of the rate component that was used to recover funds
authorized pursuant to Section 381 on January 1, 2000. If the amounts
specified in paragraph (1) of subdivision (d) are not recovered
fully in any year, the commission shall reset the rate component to
restore the unrecovered balance, provided that the rate component may
not exceed, for any tariff schedule, the level of the rate component
that was used to recover funds authorized pursuant to Section 381 on
January 1, 2000. Pending restoration, any annual shortfalls shall be
allocated pro rata among the three funding categories in the
proportions established in paragraph (1) of subdivision (d).
   (d) The commission shall order San Diego Gas and Electric Company,
Southern California Edison Company, and Pacific Gas and Electric
Company to collect these funds commencing on January 1, 2002, as
follows:
   (1) Two hundred twenty-eight million dollars ($228,000,000) per
year in total for energy efficiency and conservation activities,
sixty-five million five hundred thousand dollars ($65,500,000) in
total per year for renewable energy, and sixty-two million five
hundred thousand dollars ($62,500,000) in total per year for
research, development and demonstration. The funds for energy
efficiency and conservation activities shall continue to be allocated
in proportions established for the year 2000 as set forth in
paragraph (1) of subdivision (c) of Section 381.
   (2) The amounts shall be adjusted annually at a rate equal to the
lesser of the annual growth in electric commodity sales or inflation,
as defined by the gross domestic product deflator.
   (e) The commission shall ensure that each electrical corporation
allocates funds transferred by the Energy Commission pursuant to
subdivision (b) of Section 25743 in a manner that maximizes the
economic benefit to all customer classes that funded the New
Renewable Resources Account.
   (f) The commission and the Energy Commission shall retain and
continue their oversight responsibilities as set forth in
Sections   Section  381  and 383 
, and Chapter 7.1 (commencing with Section 25620) and Chapter 8.6
(commencing with Section 25740) of Division 15 of the Public
Resources Code.
   (g) An applicant for the Large Nonresidential Standard Performance
Contract Program funded pursuant to paragraph (1) of subdivision (b)
and an electrical corporation shall promptly attempt to resolve
disputes that arise related to the program's guidelines and
parameters prior to entering into a program agreement. The applicant
shall provide the electrical corporation with written notice of any
dispute. Within 10 business days after receipt of the notice, the
parties shall meet to resolve the dispute. If the dispute is not
resolved within 10 business days after the date of the meeting, the
electrical corporation shall notify the applicant of his or her right
to file a complaint with the commission, which complaint shall
describe the grounds for the complaint, injury, and relief sought.
The commission shall issue its findings in response to a filed
complaint within 30 business days of the date of receipt of the
complaint. Prior to issuance of its findings, the commission shall
provide a copy of the complaint to the electrical corporation, which
shall provide a response to the complaint to the commission within
five business days of the date of receipt. During the dispute period,
the amount of estimated financial incentives shall be held in
reserve until the dispute is resolved.
  SEC. 4.  No reimbursement is required by this act pursuant to
Section 6 of Article XIII B of the California Constitution because
the only costs that may be incurred by a local agency or school
district will be incurred because this act creates a new crime or
infraction, eliminates a crime or infraction, or changes the penalty
for a crime or infraction, within the meaning of Section 17556 of the
Government Code, or changes the definition of a crime within the
meaning of Section 6 of Article XIII B of the California
Constitution.